All Forum Posts by: Pat Marco

John Anderson John, I see that you are still confused and under the impression that a "skip tracer" is needed to find you if you use the asset protection I am explaining herein but there is no need for a skip tracer because whoever has the asset protection strategy I am explaining does not need to hide - you can put your name in front of the building like TRUMP in gold and still if they sue you they get nothing! I repeat to you so read it slowly: You are NOT hiding your assets and no skip tracer is needed - you are placing legal liens against your property or properties to eliminate any equity exposure The LLC is in WY because it has the best protection laws against lawsuits and charging orders The WY llc is NOT doing business in any of the states where you have properties and the liens recorded are simply representing money owed to the WY LLC as would be supported by The operating agreement (so the Wy LLC does not need to register in any other state) The liens from the WY co are to capitalize the entity hence they are legal IOUs and WY llc is a legitimate creditor under the law No judge in any federal court can unravel a legitimate lien in this structure or any others - so you are emerging about what you wrote above as if this was the case no lender in this country would extend a loan as a judge could just remove their lien (I hope you get it now!) The only condition as I wrote previously is the fact that the WY llc and OA as well as promissory note and recordation must all be done BEFORE any incident - this is simply because it is based on recorded liens that protect the WY llc as You seem to insist that only insurance would suffice which is wrong! although I agree that everyone must have the proper insurance - you can search online how many times insurance companies deny claims and go for contributory negligence cases to reduce the settlement causing plaintiffs to go after the owner of the property

Hal W. Wyoming is the state that started the LLCs in the 70's so it has the best laws protecting it and it has in its code a protection against charging orders

John Anderson Hi John I am not sure if you hear to address your reply to me regarding "no matter where you hide the property there is a paper trail" Maybe I was not clear: with the Wy LLC you NOT hiding the property at all - it could even still be in your own name but it is unteachable to any creditor if you recorded the lien to the benefit of the LLC in Wy BEFORE you run into any lawsuits Read what I wrote previously slowly and you will see what I mean! It is full disclosure, in plane sight just like any lien the creditor has first right in case of liquidation and by law the Wy llc will get all the equity (the plaintiffs get nothing but a tax bill if they win the lawsuit for phantom income!) Best, easiest and least expensive asset protection!

Alexander Castro The4% tax is a bit misleading because you must employ 5 full time qualified employees that are residents of Puerto Rico plus have a bonafide office approved by the government So when you route one million in income to reduce your tax to 4% you are faced with: 5 FT salaries at a minimum of $40k total cost which would be $200k +- additional per year and a boba for office costing an absolute minimum of $2k a month which is another $24k The the 4% would be on the tensing net which would be another $26k or so On one million incone routed through PR to take advantage of the incentive your true cost would be 25 to 30% and not 4% Obviously if you are trying to route less than one million, it would not make too much sense The solution is what I did, I joined an exiting structure and my flat rate is 15% tax liability no matter how little or how much I expense Private messenger me and I will put you in touch with the attorneys firm that handles it in PR all turnkey for $7k flat fee Best thing I have ever done because I was paying 40% in NY and I am a tax expert!

Ryan M. Clint Coons is just another seminar guy who is a licensed attorney in Washington yet he dares presenting and selling as an attorney in other states Sooner or later he will get reprimanded and/or disbarred!

David Grabiner I am not sure if I am responding in the right way to reach the right person because Bigger Pockets has the worst system for treads and written communication! Anyway to answer your question David, once you have the lien recorded against the property to the benefit of the Wy LLC you could refinance, sell or do whatever you wish - when title search is run on the property you show the certificate of ownership to the LLC Also when you prepare your financial statement you will show the lien as a debt liability and the note as an asset - it is a neutral effect The only negative thing about this structure is you CANNOT set it up after an incident otherwise a judge could consider it an illegal transfer of assets - therefore it is important to set it up once with the proper Operating Agreement and leave it on going - all you do is once a year you just renew the llc with its registered agent etc which is less than $360 a year (lower than any insurance) Of course get liability insurance but be careful because insurance companies are the masters of denying claims or invoking contributory negligence issues etc but with this structure you are not hiding but they cannot do anything The company that set it up for me is www.kmagb.com (so no need to private message me anymore - I got a bit overwhelmed) btw they have an animated video of 3 minutes that explains it and I paid $5k once and have been set up for years protecting several millions in equity (my cost is just the yearly renewal of the llc) I am in full control and can cancel it anytime

Daniel Roca Even if the note is not called due, there were cases where the county reassessed the property and charged higher tax and/or transfer tax fees

It is easier to get loans, insurance etc and transact under your own name If you were doing this llc transfer because of asset proportion, well, contrary to common belief, the llc does NOT protect the asset, it only isolates it from other assets If you have a home in an llc and you have equity in that home they will go after the equity by suing the llc anyway - even if you don't pay right away they can force the llc to sell and get paid The best way to protect your assets is 1) keep the property in your name or whatever entity name you have currently 2) set up a Wyoming LLC and draft the OA to have several business purposes and Ibe of them should be asset protection 3) capitalize the entity by placing a promissory note equal to the equity you have in the property you are trying to protect 4) record a lien against the property payable to the Wy llc 5) you would have a 1st lien to some bank and the 2nd lien to your Wy llc 6) the llc is tax neutral because it should be a flow through entity back to your living trust Anyone trying to sue you will see that 1) you have insurance 2)you have 2 liens and no equity 3) they will end up settling with your insurance When you sell the house, you simply show the title co. That you have the certificate of ownership of the llc and can remove the lien at any time Simple, inexpensive, powerful and you can add as many properties anywhere in the US and strip their equity in the same way with just one llc Cost: Setting up a Wy LLC maybe less than $1k with the registered agent etc But the cost would be to draft a good OA that has the business reasons and ways to avoid the charging order etc - that would need an attorney who specializes in this kind of structures and the cost would be somewhere around $3k to $4k Then you would need an attorney who knows how to draft the lien in a way that would. E based not on a loan but on capitalizing the entity in Wy - with a minimum of one payment per year and deferring interest to the ballon payment at the end of 30 years and clauses for cancellations etc that would cost you another $3k to $4k Total if you do it on your own probably around $10k - still a lot less than any attorney packages that make you transfer each of your properties to LLCs and then they set up anonymous corporations in NV with trust accounts etc a total mess so they can tie you up with on going fees The WY llc structure is set up in 72 hours - it can be canceled in a day and it has zero impact on your taxes plus it is form of probate - private message me and I can give you the attorney's firm that set it up for me for less than $5k I have several properties all over the US

When a lender extends a loan to a borrower they draft specific wording clearly stating that the borrower cannot sell or transfer the property through a lump sum sale or any form of installment payment without paying the lender in full with all accrued interest and any Pre-payment penalties etc The wrap around and the subject to were never legal ways to transact anyway Most sellers doing so like many have said in here are desperate because usually there is no equity - and many buyers doing it are broke but desperate to get in the game Desperate people do desperate things and when one payment is missed and the bank starts investigating the entire structure is unraveled

Yes the lenders can certainly call the loan if the equity is less than what was agreed upon when they initially gave you the loan They could even call the loan if the DCR (debt coverage ratio changes) All these conditions are set in the language of the mortgage note In 2010 and 2011 this happened in many areas of the country and was the excuse for the federal regulators to shut down some banks and turn over their assets to the big four (Wells Fargo, Citibank, JP Morgan Chase and Bank of America)